Ireland consulting landlords on future taxation

by Readers Question

10:08 AM, 29th March 2017
About 2 years ago

Ireland consulting landlords on future taxation

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Ireland consulting landlords on future taxation

Having tried taxing landlords to the wall, then realising tenants couldn’t afford their homes after rents rose by up to 50%, it seems Ireland has woken up to the invaluable service provided by the PRS.

A key highlight from the article reads: “The consultation document asks whether a tax relief comparable to the reliefs for pension investments should be considered for investments in, or income from, residential rental property. It also seeks feedback on whether improved deductibility for rental expenses would make a material difference to landlords, and whether a relief from capital gains tax on the disposal of a long-term rental property in the future would encourage landlords to remain in, or enter, the market at present. In addition, the Government would like to know if there are tax measures that would encourage vacant residential property owners to enter the rental market.”

Perhaps we should highlight this to our government to save them the time when they make the same realisation here in a few year’s time?

http://www.tax-news.com/news/Ireland_Consults_On_Taxation_Of_Rental_Income____73713.html

Heather



Comments

Chris Daniel

11:57 AM, 29th March 2017
About 2 years ago

The Link doesn't work ?

Monty Bodkin

12:41 PM, 29th March 2017
About 2 years ago

Reply to the comment left by "Chris Daniel" at "29/03/2017 - 11:57":

Good find Heather!

A damning conclusion of the inevitable result of removing expenses from business.

Link to the consultation here (with a couple of highlights);

http://www.finance.gov.ie/sites/default/files/170310%20Public%20Consultation_taxation%20of%20rental%20income_3.pdf

Landlords are an essential feature of a fully functioning residential property market. The current shortage of supply of residential rental properties is driving upward pressure on rental prices and making it difficult for prospective tenants to find affordable homes.

Proposals

Improved deductibility of expenses, including:

o Restoration of 100% mortgage interest relief
o Deduction for cost of personal time spent managing / maintaining property
o Up-front deduction for full cost of furnishings and fittings
o Increased tax relief for refurbishment works

Will the UK government learn from the failed Irish experiment?

Dr Rosalind Beck

12:58 PM, 29th March 2017
About 2 years ago

This is all great news and will help give us leverage. We need to let the politicians know what is going on in Ireland.

Heather G.

13:02 PM, 30th March 2017
About 2 years ago

Reply to the comment left by "Dr Rosalind Beck" at "29/03/2017 - 12:58":

Ros, could you send this to your contacts in the government/Ministry of Transport please?

Dr Rosalind Beck

13:37 PM, 30th March 2017
About 2 years ago

Reply to the comment left by "Heather G." at "30/03/2017 - 13:02":

Good idea, Heather. I had already forwarded it to Julie Rugg who is to lead the new review into the PRS and will also send it to all and sundry. It would be good if others could also do this.

Heather G.

10:56 AM, 3rd April 2017
About 2 years ago

Sorry Ros, just realised I suggested you send it to the Ministry of Transport! I had just been looking up train times when I typed it so my brain obviously hadn't caught up!

Dr Rosalind Beck

12:48 PM, 3rd April 2017
About 2 years ago

Reply to the comment left by "Heather G." at "03/04/2017 - 10:56":

No sweat. I'very sent it to a whole stack of journalists, politicians and economists.


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